The consumer price index (CPI) is a poor inflation metric. The goods in it are picked so that it cannot indicate any inflation and thus permit money printing to go unchecked.
Inflation is the rate of price appreciation in a basket of goods, services or assets that you want to acquire in the future.
For example, if you want to live with your parents in the basement of their house, you don’t need a house or beachfront property and don’t intend to pay for electricity or utilities. For you, inflation will be the cost of beer, Netflix, youtube. The things you have to pay for is inflation to you.
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A discussion on inflation, hurdle rates, and the mass adoption of Bitcoin.
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When mulling over multiple choices, the quality of any option cannot be assessed in isolation from its alternatives. The price you pay (or the sacrifice you make, or the benefits you give up) for doing what you’ve chosen to do instead of doing something else is the opportunity cost.
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